Cryptocurrency exchange KuCoin has confirmed that the address allegedly responsible for launching thousands of memecoin scams belongs to one of its users. However, exchanges will not freeze users' assets without formal notification from law enforcement.
On April 26, a Twitter user identified a wallet address that was releasing 2 to 5 memecoins per day for two years. Another community member noted that the wallet address is "owned and controlled" by KuCoin. At present, the blockchain browser Etherscan has marked the above address as a fake phishing wallet.
In a statement sent to Cointelegraph, the cryptocurrency exchange confirmed that the wallet address belongs to one of its users. According to KuCoin's Johnny Lyu, while the address belongs to a user of the platform, the account will not be frozen until it is notifi ed by the relevant authorities. Lu explained: "When the reporting party provides relevant legal documents, procedures or reporting records, we will assist and cooperate with law enforcement agencies to take temporary risk control measures in accordance with the complaint report, user ag reement and Seychelles laws. "
Additionally, the exchange told Cointelegraph that if community members encounter any suspicious behavior, they must report it to the police and submit relevant materials to its team. Lyu added that KuCoin was happy to cooperate after receiving the required documents. Coin has faced challenges in the past week. On April 24, the platform's official Twitter account was hacked and fake activity was posted, causing some of its followers to lose assets. After discovering the breach, the exchange worked with Twitter to restore the social media account and promised to compensate v ictims of the hack.
